Technical analysis

Technicals weaken in the shorter-term time frame, while in sentiment CoT speculators are finally net short all four U.S. equity indices.

Technical overview remains volatile on the daily time frame, while in sentiment it’s a story of heavy to extreme buy bias.

Valuation, disruption and rotation have been short-term themes testing short-term technicals, though in sentiment traders remain majority buy.

Volatile technical overview has given conformist breakout strategies the clear edge as of late, while in sentiment it remains a majority buy story.

Technical overview remains very much volatile for the precious metal as it seemingly goes parabolic, and traders both large (CoT) and small (retail) remain majority buy.

Equity index takes a hit in the futures market down less than 1% denting short-term technicals, and in sentiment CoT speculators remain net short.

Risk-off moves in the financial market see futures go for a dip, but it’ll require a bit more to shake off longer-term positive technicals and majority buy sentiment among traders.

Movement relatively contained considering the fundamental update with the technical bias still negative, while in sentiment both CoT speculators and clients are extreme buy.

Technical overview remains volatile on the precious metals front with gold no exception, and both clients and CoT speculators are majority buy.

The S&P 500 fell by more than 1% on Wednesday, 17 December, breaking through technical support at 6,765, which also coincides with the 50-day simple moving average.